Those are the three points Mayor Pete Aguilar said the city is hoping to focus on in this tough economy during Wednesday's State of the Community luncheon.

The annual event, sponsored by Redlands Chamber of Commerce and First California Bank, was held at the University of Redlands' Orton Center.

Aguilar talked for about 20 minutes about the city's efforts to "stay ahead of the curve."

The event also included three video presentations on how the city hopes to maintain the quality of life through community development, being active in the community and supporting local businesses.

"Those (videos) point to a central theme: Redlands is a special place to raise a family and to work," Aguilar said. "And while we need to share that message with visitors and neighbors, that is already something that you know and something that you're actively contributing positively toward.

"Our legacy as a community should be nothing less than the best," he said. "Each and every day we should look at the `R' on the mountain with pride and be willing to make the wise investments that will provide long-term value for the city in the future."

Aguilar talked about city staff making decision to "build a better quality of life" for the city's residents.

"I'm confident that through hardwork and diligence, we no longer have to ask the question about whether we can balance a budget. I think we've proven that," he said. "The value proposition for this council and this community will be whether Redlands can make the critical investments to create (a) more stable foundation.

"I think Redlands is up for the challenge."

The City Council is looking into ways to deliver a large investment in street improvement in coming months, noting that it is no secret the city's streets are in bad shape, Aguilar said.

He also talked about the city's need to replace outdated police vehicles and technology.

Working with youths in creating a positive environment for all ages is another big priority, he said.

By working with youths in the community, the council is hoping youths will stay in school and become more active in the community.

"Our fastest growing population is our young people and if we want to see this community succeed then we need to make wise investments and we need to support their development and be partners in their success," he said.

Becoming more of a business-friendly city is also key.

By becoming a more friendly town to businesses it could bring job creators to Redlands, adding local jobs to those looking to stay in the area, he added.

"We are working diligently with city staff and our community business leaders to continue to turn around the negative image of being anti-growth and anti-business," said Mayor Pro Tem Paul Foster prior to Aguilar's speech.

"This reputation has hurt our community in the past and we are committed to ensuring through streamlining our planning and building process, that we will turn this negative image into a positive."

Aguilar closed his discussion by taking questions.

The first question was whether the city of San Bernardino's decision to file for bankruptcy could have a "domino effect" and spill over to Redlands.

"No, we're in (an) incredibly good position financially. There is no hesitation when I say that (and) I have complete confidence in our financial situation," he responded.

"It's unfortunate what has happened to our partner to the west and we obviously stand ready to talk to them through this process and offer support."